# Financial insurer Old Mutual says South Africa’s two-pot retirement system has revealed how financial stress shapes spending habits. Old Mutual says in a statement coinciding with National Savings Month that nearly two years after its introduction, many members, including high-income earners, withdrew savings despite heavy tax penalties, prioritising immediate needs over long-term retirement goals. Most withdrawals were used for living expenses, debt and emergencies. The insurer says the findings highlight the need for personalised financial education and support to help South Africans build stronger long-term financial resilience.
Two-pot system exposes South African’s spending habits